Berlin  - German investor confidence recorded a surprise fall in April, a key indicator released Tuesday showed, as a surging euro, high oil prices and doubts about global growth hit sentiment in Europe's biggest economy.

Drawn up by the Mannheim-based Centre for European Economic Research, the ZEW index slid 8.7 points to minus 40.7 from minus 32 points in March. The index stood at
39.5 points in February.

Economists had forecast that the index would rise to minus 30 points in April.

The fall in the index came amid concerns about the risks posed to German economic growth by the strong euro and the contraction in global growth in the wake of the US subprime mortgage market crisis and soaring oil prices.

"The slight optimism of the financial market experts last month seemed to be only a temporary phenomenon," said ZEW president Wolfgang Franz releasing the survey. "New record highs of the euro and the oil price have reduced expectations again."

But he went on to say: "At the moment there is no reason for exaggerated pessimism."

The release of the latest ZEW survey came as oil prices jumped to a record of over 112 dollars a barrel.

The ZEW also mounted its survey as the euro climbed to an all-time high just short of 1.60 dollars.

The ZEW indicator, which gauges economic sentiment six months down the track, is considered to be a curtain-raiser for the release later this month of Germany's closely watched Ifo business confidence index. (dpa)